On Tuesday, lawmakers on the California Legislature’s joint budget committee refused to cut state worker pay and spared that state’s In-Home Support Services the major cut that Gov. Arnold Schwarzenegger proposed as part of his plan to solve the state’s $24.3 billion deficit.

Under the governor’s budget proposal, IHSS would stand to lose roughly $765 million, resulting in a near-elimination of services for nearly 400,000 people—or 90 percent of the elderly or disabled persons currently receiving care. Making such drastic cuts to California’s IHSS program to make up for budgetary shortfalls would also result in more people having to resort to institutional care (nursing homes or other residential institutions)– which is estimated to be four times more expensive to the State.